1. Manulife Investment Plus 2 (the “Plan”), being an investment-linked assurance scheme, is an insurance policy issued by Manulife (International) Limited (“Manulife” or “we” or “us”). Policyowner is referred to as “you” or “your” throughout the offering documents.
 

2. The premium you pay, after deduction of any fees and charges applicable to the Plan, will be invested by Manulife in the underlying funds corresponding to your selected investment choices. Your investments are therefore subject to the credit risks of Manulife.
 

3. The premiums you pay towards the insurance policy will become part of the assets of Manulife. You do not have any rights or ownership over any of those assets. Your recourse is against Manulife only.
 

4. The investment choices available under the Plan can have very different features and risk profiles. Some may be of high risk. Do not invest in the corresponding investment choices unless you fully understand and are willing to assume the risks associated with them. These instruments can be highly volatile and expose you to a high risk of loss. Please read the offering document of the Plan and offering documents of the underlying funds involved for details, including but not limited to their investment objectives and policies, risk factors and charges, which are made available by Manulife free of charge upon request.
 

5. Your potential return on investments is calculated or determined by Manulife with reference to the performance of the underlying funds corresponding to the investment choices you selected. Due to the various fees and charges levied by Manulife on the policy, the potential return on the policy as a whole may be lower than the return of the underlying fund corresponding to the investment choices you selected. You are subject to the investment risk.

6. The account value of the policy will be calculated by Manulife with reference to the performance of the underlying funds corresponding to the investment choices you select from time to time and the ongoing fees and charges which will continue to be deducted from the policy. The Units of each investment choices allocated to the policy are notional and solely for determining the account value and benefits under the policy.

7. Early surrender or partial withdrawal of the policy or policy termination may result in a significant loss of principal and/or bonuses awarded. Poor performance of underlying funds corresponding to the investment choices may further magnify your investment losses, while all fees and charges are still deductible.

8. The Plan is subject to an early redemption fee of up to 5% of the account value. It is only suitable for investors who are prepared to hold the investment for a long term period.

9. If you are not prepared to hold your policy for at least five years, the Plan is not suitable for you and it may be cheaper to purchase an insurance policy and make separate fund investments. You should seek independent professional advice.

10. Investment involves risks. You should not purchase this Plan unless you understand it and it has been explained to you how it is suitable for you. The final decision is yours.

11. The underlying funds of some of the investment choices annotated with “***” under the List of Investment Choices of the Investment Choice Brochure are derivative funds with net derivative exposure exceeding 50% of their net asset value. They may only be suitable for investors who understand the complicated structure of derivative product and the associated risks. You may incur significant loss if investing in such investment choices. You are strongly advised to exercise caution in relation to such investment choices. Please read the offering documents (including the product key facts statements) of the underlying funds for details of risks associated with the underlying funds.

12. Each of the investment choices denoted by their names ended with “(dist)” (collectively, the “Payout Distribution Investment Choices”) under the List of Investment Choices of the Investment Choice Brochure is an investment choice with feature of aiming to distribute dividend on a regular basis. By choosing the Payout Distribution Investment Choices, you will receive the dividends if dividends are received by Manulife from the corresponding underlying funds. However, please note that:

• The corresponding underlying funds do not guarantee distribution of dividends, the frequency of distribution, and the amount or rate of dividends. 

• Each of the underlying funds linked to the Payout Distribution Investment Choices may at its discretion pay dividend out of capital or gross income while charging / paying all or part of its fees and expenses to / out of its capital (i.e. effectively pay dividend out of capital). Such payment of dividends out of capital amounts to a return or withdrawal of part of the original investment or from any capital gains attributable to that original investment, and may result in an immediate reduction of the net asset value per share of the underlying funds after the distribution date, which may have negative impact on the prices of the respective Payout Distribution Investment Choices. Please also note that a positive distribution yield does not imply a positive return. 

• The dividends from the Payout Distribution Investment Choices will reduce the account value and therefore the death benefit payable may be reduced as compared to the investment choices with dividend reinvestment. 

• It may also lead to termination of the policy if the account value drops to zero.  

• The amount of dividend paid by the Payout Distribution Investment Choices and the dividend composition information of the corresponding underlying fund for the last 12 months are made available by Manulife on request and also on the website of the Plan. 

• Manulife may amend the distribution policy of the Plan (including its investment choices) subject to SFC’s prior approval and by giving not less than one month’s prior notice to you. 

• You should not choose these Payout Distribution Investment Choices unless you understand them and they have been explained to you how they are suitable for you. 

13. You should not invest solely based on the information in this website. Please read the offering documents of the Plan for details including the risk factors, charges and features of the product. 

This webpage is issued by Manulife (International) Limited.